Futures continue to suggest lower openStock futures in the U.S. remain lower, taking their lead from China’s market, whose key index fell 8.5% in its largest single day drop in 8 years. Durable goods orders rose 3.4% in June, versus expectations for an increase of 3.2%. When transportation items are removed, the core reading was up 0.8%, versus expectations for an increase of 0.5%.

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U.S. equities were hammered again U.S. equities were hammered again after stunning losses in China, which rekindled volatility in the region and concerns about the economic path. That development also fed back into the vicious cycle on commodity prices, which resumed their downslope. In Asia, the Nikkei fell 0.95%, while China's Shenzhen tanked 8.5% and the Shanghai Comp tumbled 8.4% despite government price support mechanisms. The Euro Stoxx 50 is off 1.6% in sympathy, while the German DAX is 1.7% lower, though the German Ifo jumped to 108.0. The Dow sank 105-points, S&P eased 11-points and NASDAQ is off 32-points in pre-open action. In M&A, Teva Pharma surged 14% after it bought Allergan for $40.5 B and gave up on its offer for Mylan, which sank 11%. Fiat Chrysler fell over 2% after the NTSB levied $105 M in fines on safety issues. The dollar index is 0.5% lower near 96.7 amid increased risk aversion and lower perceived Fed tightening risk. Durables should be propped up by heavy Boeing orders in June. Looking ahead, a heavy corporate earnings week and the FOMC will feature.

N.Y. FX Outlook N.Y. FX Outlook: The dollar sagged overnight against the euro and yen in particular, as risk-off conditions returned following another sharp downturn in China equities. EUR-USD touched 11-session high of 1.1113, as USD-JPY fell to two-week lows of 123.19. Further weakness in oil prices took USD-CAD back above 1.3030 from lows of 1.2980, while cable was relatively steady over 1.5500. On the data front, June durables are due at 8:30 EDT, followed by the July Dallas Fed index at 10:30 EDT.

FDA to hold a public workshopPublic Workshop entitled, "Robotically-Assisted Surgical (RAS) Devices": Challenges & Opportunities" is being held to obtain public feedback on scientific, clinical and regulatory considerations associated with RAS devices at the FDA Silver Springs, Maryland offices on July 27 and July 28 at 8 am. Webcast Link